Contracting v Limited Company

burnoutbabe

thanks. As my expenses are low, the tax saving on them - say £70 or so a month, is then wiped out by the costs of the umbrella of about the same per month.

So doesn't seem any benefit over the recruiter agency paying me directly (i understand that not all recruiters do this so then you have only the choice between umbrella and ltd)

isplumm

zeitghost wrote: »

agree with isplumm. Having one client at a time is not indicative of falling within IR35 (been doing IT contracting myself for around 13 years now).

Also go over to the contractorUK site - specifically set up for IT contractors - they have a news and guides section including information for first-timers plus stuff on bn66, income splitting and IR35. Read the First-timers guide and part 10 has links to their information on IR35 - would advise clicking on those and reading their IR35 resources section (afraid that I dont have the requisite number of posts to post a link but you should find it from the above information)

Tbh I would suggest that anyone wanting to get into IT contracting go there and also to the pcg and read all the guides that they can and learn everything - after all you will be running a business. I am amazed over the past few years how many new people come into contracting thinking they can earn easy money (not saying this is the case here) but don't do the requisite research - some not even reading their contracts before signing them (shudder) and have very little knowledge of IR35 (and often incorrect knowledge about IR35)

website is http://www.contractoruk.com/

Like you I amazed that people sign contracts without getting them checked out - I always have them checked legally & refused to sign contracts unless the clauses are right.

Mark